Thieves have more incentive to steal your tax refund in 2019. How to stop them

With the federal government shutdown ending, it's full speed ahead into tax season.

For many, this is a time of anticipation and anxiety.

Some will be eagerly anticipating the windfall of a refund. Others will be dreading the reality that they'll need to pay up when the April 15 deadline hits. And some will be diving into the mix hoping to steal your identity — along with that refund you are counting on.

The Federal Trade Commission has designated today through Feb. 1 as Tax Identity Theft Awareness Week. And it's worth paying attention: About 20 percent of all identity theft complaints in 2017 involved tax identity theft, according to the FTC.

Thieves have some added incentive this year. Here's why, along with some helpful information from the folks at Call for Action, a national nonprofit IndyStar partners with to operate a free consumer helpline that has saved or recovered $1.4 million for Hoosiers since 2016:

Why thieves have added incentive to steal tax refunds this year

The average federal tax refund last year was $2,895. Some financial experts predict some refunds could be 26 percent higher this year due to changes in the tax code.

Meanwhile, data breaches have made stolen social security numbers cheap. They can be bought on the dark web in bulk for as little as 10 cents each. That rate of return on investment makes it easy to see why identity thieves would want to try filing a fraudulent tax return with somebody else’s SSN.

One way to beat the would-be thieves at their game is to file early. If an identity thief files with your Social Security number before you do, you will receive a notice that someone else has already filed, as well as the amount of your refund they got away with.

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Simply filing your taxes early, however, may not be a foolproof way to protect yourself. Your could also be impacted if someone used your Social Security Number to apply for a job. If that happened, you may receive a notice from the IRS — after you file — saying you have unreported income missing from your tax return.

Here are some tips to help prevent tax ID theft and what to do if you think you may be a victim:

When working with a professional tax preparer always make sure they have an IRS issued Paid Preparer Identification Number (PTIN).

Never sign a blank return and make sure you get a copy of the return you signed from the service provider.

Don’t fill out online tax forms over a public Wi-Fi hotspot. Cybercriminals can intercept that traffic.

Make sure you are using a secure “https” site to file forms.

Use strong passwords.

Don’t be fooled by fake correspondence from the IRS. The IRS does send legitimate correspondence, which can help alert you if someone else uses your Social Security Number. However, the IRS will never open correspondence with a text, email, or social media message asking for personal or financial information. If you receive an email claiming to be from the IRS, don’t respond or click any links. Instead, forward it to phishing@irs.gov.

Get help if you think you are the victim of tax-related identity theft. The IRS and FTC have a set up website to submit identity theft complaints. You can submit an identity theft affidavit at https://identitytheft.gov/. The site will also provide victims with a personalized recovery plan.

If you suspect you are a Tax ID Theft victim, contact the IRS immediately. The IRS Identity Protection Specialized Unit (IPSU) can be contacted at 1-800-908-4490. Also contact the Indiana Department of Revenue, as your state return also may be affected.

If all else fails and you need help negotiating the system after a tax ID theft — or just about any other kind of consumer problem — you can always contact IndyStar Call for Action. Our free helpline is open from 11 a.m. to 1 p.m., Monday through Friday, at 317-444-6800. You can also submit an online request for help any time at indystar.com/callforaction.